Advertisements
Advertisements
प्रश्न
Monopolistic competition is the perfect blending of monopoly and perfect competition. Explain.
Monopolistic competition is a blend of perfect competition and monopoly. Discuss the statement by giving two reasons.
Advertisements
उत्तर १
A monopolistically competitive market is a blend of both a perfectly competitive market and a monopoly market.
Features of Perfectly Competitive Market:
- Large number of firms.
- No barriers to entry or exit.
Features of Monopoly Market:
- Product differentiation refers to how each company creates a product that differs slightly from that of rivals.
- Close substitutes but no perfect substitutes.
उत्तर २
Monopolistic competition is considered a blend of perfect competition and monopoly because it shares characteristics of both market structures.
- Large Number of Sellers (Like Perfect Competition): In a market with many companies, no single company has control over the entire industry. This is close to perfect competition.
- Product Differentiation (Like Monopoly): Each firm offers a differentiated product through branding, quality, or features, allowing them to have some monopoly power in pricing.
APPEARS IN
संबंधित प्रश्न
The image above shows a departmental store of a market structure.
- Identify the form of market as observed from the above image.
- Discuss the features of this market form with respect to:
- Type of product
- Entry and exit of firms
- Selling cost
Explain three features of Perfect competitive market.
How is Perfect competitive market is different from a monopoly market?
Selling costs are absent in perfect competition market.
“While shopping for fruits in the local market you see many seller selling fruits”. In this context answer the following:
- What is the type of market referred to?
- State and draw the type of demand curve faced by the market above.
- Differentiate between the market indicated above and monopoly on the basis of:
- No. of sellers
- Market price
- Entry and exit of firms in the market
Differentiated products is a characteristic of ______.
A monopolist is price maker:
Match the following and select the correct option:
| Column I | Column II | ||
| (i) | Perfect competition | (A) | Differentiated Products |
| (ii) | Monopoly | (B) | Few large firms |
| (iii) | Monopolistic Competition | (C) | Single seller |
| (iv) | Oligopoly | (D) | Homogeneous products |
There is no difference between perfect competition and pure competition.
A market where homogeneous products are sold with no control over price by an individual firm or a buyer is ______.
Observe the relationship of the first pair of words and complete the second pair.
Single seller in the market : Monopoly
Single buyer in the market : ______
Pick the option which does not belong to the group.
Identify the market form for seller A on the basis of the following information:
| Units of output sold | Price offered by seller A in ₹ |
| 30 | 10 |
| 40 | 10 |
| 50 | 10 |
A holiday resort in a remote village is very popular among the tourists. Since the connectivity is very poor with the outer world, the owner employs the local villagers for the functioning of the resort.
This is a case of:
Which of the following is the least competitive market?
Match the following:
| Column I | Column II | ||
| A. | Demand curve under perfect competition | (i) | Indeterminate demand curve |
| B. | Demand curve under monopoly | (ii) | Downward sloping but less elastic |
| C. | Demand curve under monopolistic competition | (iii) | Horizontal straight line |
| D. | Demand curve under oligopoly | (iv) | Elastic demand curve |
Define perfect competition.
Producers in a monopoly are price makers. Briefly explain.
There are no substitute goods in a monopoly market. Give a reason to support your answer.
Define monopsony.
Define product differentiation.
To which market is product differentiation relevant?
What are selling costs?
Why is there no need for selling cost under perfect competition?
Identify the market form of the following:
Goods sold are homogeneous.
Identify the market form for the following:
Perfectly elastic demand.
State the market form of the following commodity.
Automobiles
Define monopoly.
Explain any four features of perfect competition.
Explain the main characteristics of a monopoly.
What do you mean by homogeneous products?
What is meant by the term ‘price taker’?
What is the difference between collusive and non-collusive oligopoly?
In what respects does oligopoly differ from monopoly?
Which of the following is an example of a perfectly competitive market?
Which statement correctly describes monopsony?
